The broader crypto market is witnessing a recovery, and Litecoin (LTC) is leading the charge. The LTC price has jumped 11.2% today, reaching $127, as on-chain activity hits record highs. Unlike Ethereum (ETH), which suffered a brutal 31% correction in February, Litecoin defied the downturn, ending the month with a 1% gain. Analysts now suggest that LTC could extend its rally beyond $200 by April.
Can Litecoin Outshine Bitcoin?
Bitcoin (BTC) had one of its worst-performing months in February 2025, registering a 17.3% correction. In contrast, Litecoin displayed remarkable resilience, closing in the green. According to Santiment, LTC outperformed BTC by 25% during the month, a rare feat amid a bearish crypto market.
The analytics firm also noted a sharp increase in LTC addresses and heightened social media discussions about the coin. However, analysts warn that such surges in address activity and sentiment could signal a short-term retracement before the next leg up.
— Santiment (@santimentfeed) February 28, 2025
Litecoin has been one of the rare altcoins that has increased its price dominance against Bitcoin in February. $LTC's ratio is +25% against $BTC, but with active addresses and an overly bullish commentary spike in the past 24 hours, don't be surprised by a minor retrace. pic.twitter.com/lql92ZhOmo
Growing Hopes for a Litecoin ETF
One major factor driving LTC’s surge is speculation over a potential Litecoin ETF approval by the U.S. Securities and Exchange Commission (SEC). Bloomberg analysts estimate a 90% chance of approval—significantly higher than for an XRP or Solana ETF.
The success of Bitcoin and Ethereum ETFs has set a precedent for additional cryptocurrency investment products. While a Litecoin ETF may not see the same level of demand as BTC or ETH ETFs, even moderate inflows could strengthen its long-term appeal and price action.
Can LTC Reach $200?
Currently, LTC is trading at $127.70, up 11% in the last 24 hours. However, the key resistance level at $130 must be breached and sustained to trigger a further rally. Open interest in LTC futures has surged 8.68% to $645 million, while liquidations have climbed to $2.25 million, with $1.90 million in short positions.
Some analysts argue that Litecoin’s recent price jump is driven more by short liquidations than fundamental strength. However, CoinCodex data suggests LTC could rally to $224 by April if market conditions remain favorable.
With liquidity concerns still influencing crypto trends, a significant catalyst will be needed to sustain Litecoin’s bullish momentum in the coming weeks.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
Also Read: Litecoin (LTC) Outperforms Bitcoin (BTC) Short-Term, But Is a Reversal Coming?
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